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The Mandate Monitor

Paid Leave Oregon: 1% of wages in 2026

In effectChecked November 8, 2026Run by Oregon Employment Department (OED), Paid Leave Oregon

Short answer

Paid Leave Oregon is funded by a contribution of 1% of each employee’s wages in 2026, on wages up to $184,500 a year. Employees pay 60% through payroll deduction and employers with 25 or more employees pay the other 40%; smaller employers withhold and send in only the employee share. The Oregon Employment Department (OED) posts each employer’s 2027 rate on November 15, 2026, and contributions are reported and paid every quarter through Frances Online, Oregon’s payroll reporting system.

Next date: November 15, 2026: OED posts each employer’s 2027 Paid Leave contribution rate information to Frances Online employer accounts; mailed notices go out by November 13. By rule the director announces the next year’s rate and maximum wage by November 15.

Does your payroll handle Paid Leave Oregon? See the free state route and the 5 payroll systems with help docs that cover it.

On your payroll: Paid Leave Oregon2026
Premium, share of wages
1%
Most you may deduct from employees
0.6%
Employer pays at least
0.4%
Wages subject to premium, per employee
$184,500

Employers with fewer than 25 employees on average pay no employer share, unless they received an assistance grant in the last 8 quarters.

Paid Leave Oregon premium calculator

In 2026, Paid Leave Oregon premiums are 1% of each employee’s wages up to $184,500 a year. With 25 or more employees, employers may deduct up to 0.6% from pay and must cover the rest (at least 0.4%).

Total premium a year
$300.00
Most you may deduct from employees
$300.00
Employer pays at least
$0.00

Small-employer rule applied: 24 or fewer employees. Employers with fewer than 25 employees on average pay no employer share, unless they received an assistance grant in the last 8 quarters. Not tested here: an employer that received an assistance grant in the last 8 quarters pays the employer share.

Assumes the full employee share is deducted. Employer size is tested on the number you enter here; each program counts employees its own way, and the page explains how.

Paid Leave Oregon deadlines

  1. · Paid leave

    OED posts each employer’s 2027 Paid Leave contribution rate information to Frances Online employer accounts; mailed notices go out by November 13. By rule the director announces the next year’s rate and maximum wage by November 15

  2. · Paid leave

    The 2027 contribution rate and maximum wage take effect

    The rate cannot exceed 1%, and by law the wage cap follows the Social Security wage base, which is $192,300 for 2027.

  3. · Paid leave

    Fourth-quarter 2026 Oregon Combined Quarterly Tax Report and Paid Leave contributions due

    January 31, 2027 is a Sunday, so the deadline moves to Monday.

  4. · Paid leave

    First-quarter 2027 report and contributions due

  5. · Paid leave

    Second-quarter 2027 report and contributions due

    July 31 is a Saturday, so the deadline moves to Monday.

  6. · Paid leave

    An employer that hasn’t filed all required reports and paid all contributions due in 2027 before September 1 owes a penalty of 1% of its employees’ 2026 wages. OED sends warning notices by June 30 and assesses the penalty by October 20

  7. · Paid leave

    Third-quarter 2027 report and contributions due

    October 31 is a Sunday, so the deadline moves to Monday.

  8. · Paid leave

    Deadline in rule for OED to announce the 2028 contribution rate and maximum wage amount

  9. · Paid leave

    Fourth-quarter 2027 report and contributions due

  10. · Paid leave

    First-quarter 2028 report and contributions due

    April 30 is a Sunday, so the deadline moves to Monday.

  11. · Paid leave

    Second-quarter 2028 report and contributions due

  12. · Paid leave

    Annual cutoff: an employer that hasn’t filed all reports and paid all contributions due in 2028 before September 1 owes a penalty of 1% of its employees’ 2027 wages

  13. · Paid leave

    Third-quarter 2028 report and contributions due

Dates already passed (4)
  • : For benefit years starting on or after this date, the weekly benefit ranges from $70.51 to $1,692.16 (up from $68.19 and $1,636.56).
  • : Contribution rate held at 1% for 2026; the maximum wage subject to contributions rose from $176,100 to $184,500.
  • : Paid Leave Oregon began paying benefits.
  • : Contributions began on wages paid.

What employers have to do

  1. Create an employer account in Frances Online, Oregon’s payroll reporting system, with your Business Identification Number (BIN), Federal Employer Identification Number (FEIN) and payroll figures from a recent report.
  2. Withhold the employee share, 60% of the rate (0.6% of wages in 2026), from each employee’s pay on wages up to the year’s maximum ($184,500 in 2026).
  3. If you have 25 or more employees on average, also pay the employer share, 40% of the rate (0.4% of wages in 2026).
  4. Each quarter, file the Oregon Combined Quarterly Tax Report in Frances Online with your employee count, Paid Leave subject wages and contributions, and pay both shares through Revenue Online by the last day of the month after the quarter ends.
  5. Post the Paid Leave Oregon model notice at each work site, in the languages you use with employees, and give a copy to remote employees.
  6. Hold the job of an employee who has worked for you more than 90 consecutive days while they are on Paid Leave, if the position still exists.

Handling Paid Leave Oregon in payroll

The free route: register directly with the state

You can register and report on your own through Oregon Employment Department (OED), Paid Leave Oregon. You’ll still need your payroll to figure the premium on each paycheck and withhold any employee share.

Payroll systems with a help document covering Paid Leave Oregon

SystemWhat the documentation saysLink
GustoOregon tax article says Gusto withholds Paid Leave Oregon contributions from employees (and employers when required) and sends payments and filings to the state. Read their help doc, Nov 8, 2026See plans for Gusto
OnPayHelp article says OnPay automatically withholds, drafts and pays Paid Leave Oregon contributions at the standard rate unless the employer changes the settings. Read their help doc, Nov 7, 2026See plans for OnPay
Patriot SoftwareHelp article says Patriot calculates Paid Leave Oregon for all payroll customers and collects, deposits and files it for Full Service customers. Read their help doc, Nov 7, 2026See plans for Patriot Software
QuickBooks PayrollHelp article explains setting up Paid Leave Oregon contributions in QuickBooks Workforce and Desktop Payroll, including paying the employee share on their behalf. Read their help doc, Nov 7, 2026See plans for QuickBooks Payroll
Square PayrollOregon tax article says Square Payroll handles Paid Leave Oregon premium calculations, withholdings, payments and reporting. Read their help doc, Nov 7, 2026See plans for Square Payroll

Listed alphabetically. We may earn a commission from these links; it never decides who’s listed.

How Paid Leave Oregon works

The total rate, set each year by OED and capped at 1% by law, is split 60% employee and 40% employer. Employers deduct the employee share from wages (0.6% in 2026) and may choose to pay some or all of it as a benefit. Employers with 25 or more employees on average add the 40% employer share (0.4% in 2026). Contributions stop for the year once an employee’s wages from that employer reach the Social Security wage base.

A large employer (25 or more employees on average) pays 0.4% of wages in 2026, or $200 a year for an employee earning $50,000; OED’s own example puts it at $4,000 a year on $1 million of payroll, with employees paying $6,000. Small employers pay nothing of their own unless they received an assistance grant.

Up to 12 weeks of paid family, medical or safe leave in a 52-week benefit year, or 14 weeks for pregnancy-related conditions. Workers earning 65% or less of the state average weekly wage get 100% of their wages; higher earners get a portion. For benefit years starting on or after June 28, 2026, the weekly benefit runs from $70.51 to $1,692.16.

Questions employers ask

Who has to follow Paid Leave Oregon?

Every employer with employees working in Oregon, whatever its size. Employees qualify for benefits once they have earned at least $1,000 in Oregon in their base year. Self-employed people, independent contractors and Tribal governments aren’t covered automatically but can choose coverage; federal employees are not eligible.

Is there a small-employer rule?

Employers with fewer than 25 employees on average don’t pay the employer contribution, though they must still withhold, report and pay the employee contributions. Size is based on monthly employee counts for the previous calendar year (January to December) and counts employees inside and outside Oregon. A small employer can apply for an assistance grant when an employee takes leave (up to $3,000 to hire a temporary replacement, or up to $1,000 for other significant wage-related costs, up to 10 a year), but after a grant it pays the 40% employer share for the next 8 quarters.

What happens if an employer doesn’t comply?

If an employer hasn’t filed all required reports and paid all contributions due in a year before September 1, it owes a penalty of 1% of its employees’ wages for the prior calendar year; OED warns by June 30 and can waive the penalty for good cause once reports and payments are in (ORS 657B.910). After a first written warning, a late quarterly report can bring a late filing penalty of 0.02% of wages, rounded to the nearest $100 (ORS 657B.920). Violating chapter 657B is also a Class A misdemeanor (ORS 657B.900).

Can employers use a private plan instead?

Allowed as equivalent plans approved by OED. The plan must be offered to every employee continuously employed for 30 days and give weekly benefits and leave at least equal to Paid Leave Oregon; the application fee is up to $250. Employers and employees under an approved plan don’t pay state contributions for the quarters it covers, and employees can’t be charged more than the state employee contribution (ORS 657B.210).

Everything employers in Oregon must do ·Paid leave in every state

Sources

  1. ORS chapter 657B; OAR chapter 471, division 70
  2. Employers: Paid Leave Oregon at a glance (2026 rate and split, large and small employers, job protection, benefits), Oregon Employment Department (Paid Leave Oregon) (read Nov 7, 2026)
  3. What employers need to do (Frances Online account, withholding, quarterly report, poster, job protection), Oregon Employment Department (Paid Leave Oregon) (read Nov 7, 2026)
  4. Small employers (under 25 rule, assistance grants, 8 quarters of employer share after a grant), Oregon Employment Department (Paid Leave Oregon) (read Nov 8, 2026)
  5. Press release, November 18, 2025: Unemployment Insurance tax and Paid Leave Oregon contribution rates hold steady for 2026, Oregon Employment Department (read Nov 7, 2026)
  6. Current tax and contribution rates (2027 rate notice schedule, report due dates, 2026 Paid Leave rate), Oregon Employment Department (read Nov 8, 2026)
  7. Press release, May 29, 2026: minimum and maximum weekly benefit amounts to increase, Oregon Employment Department (read Nov 7, 2026)
  8. OAR 471-070 (471-070-3010 rate announced by November 15; 471-070-3030 quarterly report and payment due dates), Oregon Secretary of State (read Nov 7, 2026)
  9. Cost-of-Living Increase and Other Determinations for 2027 (Social Security wage base $192,300 for 2027), Social Security Administration (Federal Register) (read Nov 7, 2026)